In May 2020, NTPC and ONGC had signed a memorandum of understanding to set up a joint venture company for renewable energy business. NTPC has doubled its renewable energy target to 60,000 MW by the end of 2032.
State-run NTPC will jointly develop offshore wind power plants with the Oil and Natural Gas Corporation (ONGC), and the potential capacity of these projects can run up to “tens of thousands of mega-watts (MW)”, a senior official of the power generator said. The investment required for 1 MW of wind power is around Rs 5 crore.
Offshore wind power projects are capital-intensive compared to conventional wind plants as developers have to install large wind power turbines in open seas and build transmission infrastructure to on-shore substations. Union power minister RK Singh recently said the ministry of new and renewable energy is considering offering viability gap funding options for offshore wind energy projects.
In May 2020, NTPC and ONGC had signed a memorandum of understanding to set up a joint venture company for renewable energy business. NTPC has doubled its renewable energy target to 60,000 MW by the end of 2032. Currently, its installed renewable energy capacity is 1,365 MW and by FY24, it intends to add another 13,000 MW of green power generation base.
An offshore wind policy was announced in 2015, and the first offshore light detection and ranging (LiDAR) was installed in the gulf of Khambhat in Gujarat for measurement of wind resources. The National Institute of Wind Energy is collecting wind speed data November 2017 onwards. Preliminary assessments along the 7,600-km-long Indian coastline have indicated prospects for development of offshore wind power.
The government has set a target of 30,000 MW of offshore wind capacity by 2030. In April 2018, the government had invited expressions of interest for the development of the country’s maiden commercial offshore wind farm, and had proposed a 400 sq km area to set up 1,000 MW of wind capacity near the Pipavav port in the gulf of Khambhat.
Out of the 450 GW of the country’s renewable energy target for 2030, around 140 GW is expected to come from wind plants, and offshore projects can comprise a significant portion of this portfolio as they do not have land acquisition-related challenges.